Brit Insurance Holdings PLC has welcomed the Lloyd's Chairman's Strategy Group (CSG) proposals.
Chief executive Neil Eckert said the proposals should bring "forward looking" regulation and disciplines that should "already exist in good insurance businesses".
He added: "The appalling bottom quartile performance that has historically affected both investors and the Central Fund which underpins Lloyd's licences should be especially impacted.
"If the franchise system cuts costs and improves
market performance, our shareholders will benefit from improved returns and the sector in turn will also benefit from improved transparency."
